Eurozone Inflation Accelerates Further Beyond ECB’s Target

Core rate of inflation eases, supporting ECB caution on stimulus

The eurozone’s annual rate of inflation rose further above the European Central Bank’s target in September, but a measure of underlying price pressures fell, a development likely to reinforce the cautious approach policy makers are taking to withdrawing crisis-era stimulus.

The European Union’s statistics agency Friday said consumer prices in the 19 countries that use the euro were 2.1% higher than in September 2017, an increase from the 2.0% rate of inflation recorded in August, the highest level since April last year.